South Korean Court Acquits Former Wemade CEO in WEMIX Token Case
In a significant legal development, the Seoul Southern District Court has acquitted Jang Hyun-guk, former CEO of blockchain gaming company Wemade, of charges related to alleged manipulation of the WEMIX token market. The ruling underscores the evolving legal landscape for digital assets in South Korea.
Case Background and Court Findings
Prosecutors had accused Jang of making false statements about halting WEMIX token liquidations to influence prices. The court found insufficient evidence of intent to manipulate markets, delivering a notable precedent for cryptocurrency regulation.
- Wemade allegedly sold $200 million in WEMIX tokens without proper disclosures
- Court dismissed claims of market manipulation due to lack of evidence
- WEMIX token value declined 97% from its November 2021 peak
Market Impact and Regulatory Implications
The case has sparked debate about cryptocurrency oversight. “This ruling clarifies the burden of proof needed in crypto market cases,” said a Seoul-based financial regulator. The Digital Asset eXchange Alliance‘s subsequent delisting of WEMIX demonstrates ongoing market challenges.
Looking Ahead
While the legal outcome favors Wemade, the WEMIX token continues to trade at just $0.61, far below its historic high. The case highlights the complex relationship between innovation and regulation in blockchain technology.
